A discussion of whether offshore outsourcing of software and services jobs strengthen the U.S. economy or weaken it.
Research Paper # 51933 |
4,600 words (
approx. 18.4 pages ) |
18 sources |
APA | 2004
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$ 71.95
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Abstract
The paper provides an overview of recent research on the economic and labor impact of offshoring IT services to low-cost destinations. The research identifies key determinants, recent trends, occupations affected, magnitude, and benefits of offshoring to the U.S economy. The analysis indicates that the current wave of offshoring involves IT services threatens mainly white-collar occupations in the low-income group, but is counterbalanced by job creation in the high-income sectors. The research argues that the jobs lost to offshoring are a negligible percentage; on the other hand, the reduction in costs of IT services due to offshoring will increase labor productivity, job creation, boost Gross Domestic Product, and further strengthen the U.S. economy.
Table of Contents
Abstract
1 Background
2 Definition of Terms
3 Determinants of Offshore Outsourcing
4 Outsourcing and Productivity
5 Protectionist Measures
6 Conclusion
References
From the Paper
"Traditionally, cost reduction has been the overwhelming motivation and perceived payback for outsourcing. While offshore outsourcing is not new (companies have been offshoring manufacturing for many years and reaping significant cost and productivity improvements), the offshoring of business processes is still in its infancy. In the past, outsourcing has often been used tactically, as a rapid and often short-term solution to a particular need or problem, which did not form part of an overall business strategy. The experience of manufacturing illustrated that when it is possible to do things cheaper elsewhere in the world, the work will migrate there. With the relentless pursuit of the lowest global costs, offshoring is getting institutionalized in many companies. So much that firms might resort to a strategic use of outsourcing by working with one or more suppliers in order to effect a significant improvement in business performance. This enables the firm to focus on those products that lie closest to the company's core capability set and consider jettisoning the rest. "
Tags:arbitrage, economy, globalization, labor, offshore, offshoring, outsouring
An overview of the advantages and disadvantages of offshore outsourcing, with a focus on India.
Research Paper # 50656 |
4,930 words (
approx. 19.7 pages ) |
15 sources |
MLA | 2004
$ 75.95
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Abstract
This paper examines how outsourcing to India can be very lucrative due to significant cost savings and many other beneficial factors surrounding the Indian software market. It discusses offshore outsourcing through a review of the article, "Inside Outsourcing in India", by Stephanie Overby. It examines how, in the article, two experienced entrepreneurs share their lessons and discuss the advantages and disadvantages of Indian outsourcing. This paper also explores the history and future of offshore outsourcing, as well as how to successfully plan, implement, and manage such a relationship.
Outline
Executive Summary
Introduction
History
Advantages of Offshore Outsourcing
Disadvantages of Offshore Outsourcing
Planning the Outsourcing Relationship
Implementing the Outsourcing Relationship
Managing in an Outsourcing Relationship
Current Affairs
Future
Conclusion and Recommendations
From the Paper
"It is important to remember that outsourcing does not shift all responsibilities to service organizations. When stockholders, government agencies, customers and vendors demand answers to key questions, you can bet that they will not stop with the outsource service organization. In fact, most legal and fiduciary responsibilities cannot be shifted at all. The bottom line is this, when there is a serious problem, key questions to be answered, or operational shortfalls, the responsibility resides with management and not the service organization."
Tags:customers, vendors, service, software
An analysis of the failing economics of international technology job markets in "Is Offshore Outsourcing Worth the Loss of Its Jobs?" by Karen Gugliemo in 2007"Tech Target--CIO".
Article Review # 102400 |
1,470 words (
approx. 5.9 pages ) |
3 sources |
MLA | 2008
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$ 29.95
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Abstract
This paper explains that the basis of Gugliemo's article 'Is Offshore Outsourcing Worth the Loss of Its Jobs?' reflects the growing economic disparity that is occurring at the domestic level in the United States and in Canada. The author points out that her research indicates the growing exponential rate of American and Canadian jobs that are being exported over to third world countries have greatly lowered wage rates, threatening the middle class in North America. The paper relates that another factor is the policy making-leverage that America wields over most third world countries supplying technology job markets in the global market. The author underscores that, since many of these jobs are being provided to economically impoverished countries, there is a marked disadvantage not only to the workers being exploited in these countries but also to the workers on the North American continent. This paper includes long quotations.
Table of Contents:
Summary
Discussion
Analysis and Critique
From the Paper
"In Gugliemo's article, the issue of a vanishing middle class is a dangerous idea for native North American technology workers. When companies continually find that they can outsource jobs without government regulation, the country will find itself in a crisis. While the rich get richer, and the poor get poorer, where does the middle class go? Certainly, they would find themselves in the majority of the poor, which can constitute a real danger of stability in the country. Throughout history when the middle class is a missing link between the rich and the poor, civil strife will most likely ensue."
Tags:corporations, profits, education, stability, statistics
This paper discusses the cause and effect of offshore outsourcing on the American economy.
Argumentative Essay # 95658 |
1,476 words (
approx. 5.9 pages ) |
7 sources |
MLA | 2007
|
$ 29.95
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Abstract
In this article, the writer introduces, discusses and analyzes the topic of the American business practice of outsourcing jobs offshore. Specifically, the writer discusses the cause and effect of this practice on the American economy, labor force, customer service, etc. The writer points out that outsourcing a variety of American jobs overseas has become common practice and that the cause of this practice is clear. The writer then explains that American wages are higher than offshore wages, and outsourcing, therefore, saves American companies money. The writer notes that the effects, however, are beginning to be noticed in a wide area, from customer service to job loss. The writer argues that outsourcing overseas may save companies money, but in the end, it places them in a negative light and indicates their lack of interest in protecting and enhancing America and the American economy.
From the Paper
"Outsourcing has really taken off in the last few years. Thousands of American businesses routinely outsource customer service and other jobs to outsourcers in India, China, Russia, and other foreign companies. CBS News reports, "The U.S. government does not keep track of how many American jobs have gone overseas, but there are estimates that in just the last three years, as many as 400,000 jobs have gone to places like China, Russia, and India". In fact, outsourcing is on the rise, and it looks as if that trend will continue. Another expert notes, "The number of service sector jobs moving overseas is expected to reach 588,000 by 2005, up from 100,000 in 2000". This shift of jobs to overseas locations can create several negative affects to the country in a number of areas."
Tags:labor, workers, jobs, quality
An analysis of the impact of offshore outsourcing on the American economy.
Term Paper # 96893 |
2,110 words (
approx. 8.4 pages ) |
5 sources |
MLA | 2007
|
$ 39.95
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Abstract
This paper discusses why outsourcing helps and protectionism hurts the United States' economy. It provides an overview of a series of articles and research papers which discuss the impact of offshore outsourcing on the American economy. It analyzes whether it is ultimately better for America to be challenged competitively or if it is more prudent to protect American industries.
Table of Contents:
Summary
Offshore Outsourcing Has Become the Political Football of Choice
Offshore Outsourcing Hits Iowans Hard
Evaluating Lou Dobbs' Commentaries on Offshore Outsourcing
Making American Manufacturing Lean: A Perspective
Conclusion
From the Paper
"Instead, the author takes the approach of looking at the concepts of lean manufacturing as the true point of differentiation and long-term growth of American manufacturing. Link (2006) argues that efficiency and cost reduction through lean manufacturing techniques can actually forestall or even stop the outsourcing of jobs en masse. The other side of this argument however is that many Indian outsourcing companies including HCL, Infosys, Tata and others can deliver a 40% reduction in the costs of doing a complex task or process, which would ironically alleviate the pressure on companies to outsource their core business. The author tends to applaud the Toyota Production System too often, and could have made the entire article stronger by showing the ironies of Toyota themselves doing much of their outsourcing work on non-strategic parts of their business so they could focus on the core aspects of next generation auto development."
Tags:manufacturing, regionalization, protectionism
Argues that offshore outsourcing of information technology services is damaging to the corporate economy.
Argumentative Essay # 47255 |
3,397 words (
approx. 13.6 pages ) |
12 sources |
MLA | 2004
|
$ 57.95
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Abstract
A highly competitive global economy makes companies remarkably pragmatic when it comes to both internal business processes and essential business services. They want these jobs done with world-class speed and efficiency, and they want them out of their hair so they can get on with the task of adding value in their fields of expertise. It is for this reason that IT outsourcing continues to grow in dollar volume, scope, and sophistication. The paper shows, however, this is not just an issue of corporate efficiency; it is an issue of misguided corporate greed. The paper shows that the cost savings accrued from the outsourcing of Information Technology overseas is marginal as compared to the long-term damage this trend will have on the national economy, as well as the bottom line of businesses that fail to take into account "the big picture".
From the Paper
"Outsourcing is not a decision for the short term; rather, it is a commitment that is made for the long-term advantages that outsourcing provides. Over the contract term, the company's business, available technology and the competitive and regulatory environment may change dramatically. The vendor may or may not decide, as a part of running its business, to develop capabilities the company will need in the future. Therefore, this commitment involves great risk regarding loss of control that can potentially traumatize the organization or even the economy as a whole. However the motives for outsourcing can be extensive and persuasive."
Tags:specialization, EDS
This paper is a complete quantitative research project, with an extensive literature review, that explores the impact of outsourcing on the American worker and the American economy.
Research Paper # 98790 |
19,940 words (
approx. 79.8 pages ) |
18 sources |
APA | 2007
|
$ 210.95
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New! Look inside the paper
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Abstract
This paper explains that the study investigates the impact of outsourcing specifically on white collar workers in the high-tech industry, who are increasingly becoming more affected by the phenomenon of offshore outsourcing. The author reports that the methodology for the study was a questionnaire, using a 7 point Likert scale, which was sent to 65 randomly selected computer programmers employed in the U.S. at Microsoft, Cisco and Apple. The paper indicated that the quantitative research and the literature review conclude that outsourcing is a serious issue, which impacts American workers and the American economy; however, it is clear that the practice of outsourcing is here to stay. The paper includes the questionnaire and many quotations, tables, figures and graphs.
Table of Contents:
Introduction
Context of the Problem
Statement of the Problem
Research Questions
Significance of the Study
Limitations of the Study
Review of the Literature
Globalization
Politics of Offshore Outsourcing
Trends in Offshore Outsourcing
Most Popular Countries for Offshore Outsourcing
Impact of Offshore Outsourcing on the American Worker
Impact of Offshore Outsourcing on White-Collar American Workers
The Impact of Outsourcing on the American Economy
Security and Cultural Barriers Associated with Offshore Outsourcing
The Future of offshore Outsourcing
Methodology
Methodology Overview
Methodology Survey
Subject Population
Data Collection
Organization of the Study
Results
Discussion, Conclusion, Implications
Appendix
Survey
Letter Sent to the Appropriate Managerial Personnel
Low Labor Cost Chart
Number of U.S. Service Sector Jobs Projected to Shift Offshore
Share of Projected American Jobs Moving Offshore
Workers Displaced From and Reemployed in Full-Time Wage and Salary Jobs
Hourly Compensation Costs
Hourly Compensation Costs for Production Workers
Employment Cost Index
Employer Cost for Employee Compensation
From the Paper
"The literature review asserts that a great deal of the focus on outsourcing began as a purely political issue. The literature review indicates that politicians used the slowdown in the labor market, to assert that the cause of the slowdown was offshore outsourcing. The literature review also found that many major media outlets had many reports on the topic of outsourcing, which may have distorted the true facts concerning the nature of outsourcing on workers and the economy. On the other hand, many years after that election, offshore outsourcing seems to be an issue for many American workers."
Tags:media, likert, profitability, operations, sophisticated
This paper explores successful IT outsourcing strategies.
Research Paper # 96349 |
1,751 words (
approx. 7 pages ) |
4 sources |
MLA | 2007
|
$ 33.95
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Abstract
The paper discusses how many companies are lowering their costs by using offshore outsourced resources on a project-by-project basis. The paper explains that companies who are getting the best results from outsourcing are following three major strategies: saving money without impacting strategic direction, accessing specific skill sets of the outsourcers and selectively hiring the talent needed on a per-project basis. The paper provides a summary of the advantages and disadvantages of outsourcing.
Outline:
Executive Summary
How Companies Are Making IT Outsourcing Work
Advantages and Disadvantages of Outsourcing
From the Paper
"All companies are asking their IT departments to reduce IT costs and head count, and this is hitting IT departments the hardest. Yet as the research in this paper shows, the majority of jobs being outsourced are those that deal with repetitive, mundane and easily replaceable processes. These areas of any company are ripe with cost reduction strategies. The Draconian notion of trimming all IT costs is unrealistic; rather the focus on fine-tuning strategic benefits is critical. These mundane and easily automated (and therefore outsourced) tasks account for 19% of the IT budget by many industry sources, making them an attractive target for cost savings."
Tags:offshore, resources, project
Presents a trend analysis of the outsourcing of jobs in American companies.
Essay # 69407 |
1,610 words (
approx. 6.4 pages ) |
8 sources |
APA | 2004
|
$ 31.95
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Abstract
This paper presents a trend analysis of the outsourcing of jobs in American companies. It looks at the impact of the exodus of jobs from the United States as the result of outsourcing or offshoring. It looks at outsourcing of non-core services as the largest outsourcing activity. The paper also examines trends of free trade and globalization of the economy.
From the Paper
"With companies paying greater attention to costs and bottom lines today than in the past many are turning to a new paradigm called outsourcing ..."
Tags:outsourcing, globalization, information technology
This paper discusses the mechanisms of outsourcing and off-shoring, with reference to Armstrong Holdings.
Term Paper # 99948 |
1,121 words (
approx. 4.5 pages ) |
5 sources |
APA | 2007
|
$ 23.95
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Abstract
The paper explains that Armstrong Holdings could not remain competitive for very long if it did not offshore some or all of its manufacturing. The paper then also points out the risks involved with such a strategy and warns that Armstrong must be diligent in not exporting proprietary knowledge or techniques or it risks being undermined by foreign competitors who acquire its intelligence.
Outline:
Overview
Offshoring/Outsourcing & Globalization
Effects of Global Outsourcing & Off-shoring
Conclusion
From the Paper
"Outsourcing, and its sister strategy of off-shoring, are by-products of globalization and the U.S. market has been deeply impacted by globalization. Armstrong Holdings (Armstrong) itself utilizes offshoring strategies since it has long maintained a manufacturing facility in Mexico. The U.S. economy has been one of the global economy's hardest hit by some of the side-effects of globalization: outsourcing and off-shoring. Outsourcing or the contracting out of functions previously handled in-house, and off-shoring, which is the use of overseas firms to provide a product or service previously handled nationally, both contribute to shrinkage of jobs and manufacturing (Globalization, 2005, p.1). Armstrong, in order to maintain its competitive edge, like most other companies availing themselves of these strategies, is merely taking advantage of a market strategy."
Tags:globalization, cometition, intelligence, risks, economy